Agreement to Develop and Mine for High-Grade Manganese Ore Signed with Landowners in Southern Philippines, Pearl Asian Mining Industries Announces
19:40 01.08.07
Project Calatrava Manganese Expected to Produce around $300,000 in Revenues and about $90,000 Net Profit within Three-Month Timeframe
MANILA, Philippines--(BUSINESS WIRE)--Pearl Asian Mining Industries Inc., with stock symbols: U.S.A. (OTC:
PAIM) and Germany (GER: R1Z)(FWB: R1Z), announces that it has signed an
agreement to mine and extract high-grade manganese ore with a landowner
in the southern Philippine island of Negros. Chairman Bae Katiguman
signed the agreement with the landowners of a 21-hectare (52 Acre)
property in the town of Calatrava, province of Negros Occidental,
approximately 300 miles (483 Km) south of Manila. The agreement covers
the immediate extraction of at most 3,000 metric tons of high-grade
manganese ore within a three-month period, and the conduct of
exploratory drilling to obtain more precise data on ore reserves and
determine the possible presence of other minerals.
High-grade manganese ore (minimum 44% Manganese metal), used primarily
in the production of steel, has no known substitute resulting in its
high demand particularly in China and Japan, the two biggest
manufacturers of steel in the world. Its current price is around $100
per metric ton of manganese ore having 50% Manganese, and is expected to
rise further. A Swedish mining company previously operated a mine there
in 1992 but abandoned the project due to political instability in the
Philippines at the time. A study done by Geologist Jan Frostom for this
Swedish company identified two types of manganese deposit: sedimentary
deposits overlying limestone and epigenetic deposits formed by manganese
leached from the sedimentary deposits by ground water. More importantly,
the study confirmed the presence of high-grade manganese ore within and
in the vicinity of the subject property, with probable ore reserves
estimated at around 583,200 metric tons. At the present time and with
the favorable economic and political situation in the country, several
mining companies have approached landowners in the area, with Pearl
Asian among the first to secure a definitive agreement to extract
manganese ore.
International USA Liaison & IR Officer Gary Gotanco, who witnessed the
signing, stated: An initial feasibility study
has been completed by PAIM, indicating that the sale of at most 3,000
metric tons of high-grade manganese ore alone would result in revenues
of at least $300,000 and a net profit of at least $90,000, equivalent to
a 30% net profit rate, within a three-month period. Furthermore, while
the operation to mine the first 3,000 metric tons is ongoing, and if the
results of the exploratory drilling activity are favorable, PAIM and the
landowners have an understanding to discuss and negotiate for a longer
term joint venture agreement, for a minimum of 20,000 metric tons of
manganese ore per year. The planned joint venture agreement would have a
minimum term of two years, and would contribute around $2 million in
revenues and about $600,000 in net profit to PAIMs
bottom line every year.
PAIM hopes to commence mining, extraction, and drilling for manganese
ore in Project Calatrava Manganese
within the 4th Quarter of 2007. There is also
an opportunity for future expansion, considering that the 21 hectare (52
Acre) mine is only a small part of the subject of the Frostom study
covering a total of at least 240 hectares (593 Acres). In
addition to the profitability aspect, this project will also have an
enormous positive impact on the economy of Calatrava and the livelihood
of its people, which is predominantly a sugar cane producing area, with
the expected employment of a substantial number of locals in the
mining/extraction operation, including operators of several heavy
equipment, and the immediate implementation of community relations and
livelihood-enhancing programs, added Gotanco.
This project marks PAIMs first venture into
mining minerals other than gold, and the first positive result of its
continuing aggressive exploration for new potentially lucrative mining
prospects in the Philippines.
Forward-Looking Statements
Forward-looking statements involve known and unknown risks,
uncertainties and other factors that may cause our actual results,
performance or achievements to differ materially from the anticipated
results, performance or achievements expressed or implied by such
forward-looking statements. Forward-looking statements in this release
include statements regarding the Company's projections regarding gold
production in future periods. Factors that could cause actual results to
differ materially from anticipated results include risks and
uncertainties such as: risks relating to estimates of reserves, mineral
deposits and production costs; mining and development risks; the risk of
commodity price fluctuations; political and regulatory risks; risks of
obtaining required operating permits and other risks and uncertainties.
Penny Stocks are very highly speculative and may be unsuitable for all
but very aggressive investors. The Company disclaims any intention or
obligation to update or revise any forward-looking statements, whether
as a result of new information, future events or otherwise.
(c)2007 Business Wire. All of the news releases contained herein are
protected by copyright and other applicable laws, treaties and conventions.
Information contained in the releases is furnished by Business Wire's
members, who warrant that they are solely responsible for the content,
accuracy and originality of the information contained therein. All
reproduction, other than for an individual user's personal reference, is
prohibited without prior written permission.
|
1 |
|
3 |
4
Thread abonnieren
